Payroll and accounting in one

Pay your employees with HMRC-recognised software. Simplify your pay calculations, deductions and account updates.

A list of employees to pay displays in Xero on a laptop.

HMRC requirements sorted

Simplify compliance and reporting.

Automated payroll

Xero calculates tax, pension, and leave.

Employee self service

View payslips and request leave online.

HMRC requirements sorted

Xero payroll software is HMRC-recognised. Simplify compliance with HMRC reporting requirements.

  • Keep accurate digital records about pay
  • Submit payment and deduction details to HMRC each payday
A list of employee names and the amounts to pay them displays with some names ticked for inclusion in this pay run.

Automated payroll

Set up Xero payroll so paying employees takes just a few clicks. Payroll data feeds into Xero accounts automatically.

  • Automatic tax, pensions and leave calculations
  • Flexible pay calendars, tax and pay rates
  • Email payslips and let employees view them online
A business owner sends payslips from Xero to casual and permanent employees.

Employee self service

Give your employees online access via web browser or smartphone and reduce your payroll admin.

  • Let staff submit leave requests and timesheets for review
  • Allow employees to view leave balances and payslips
  • Use the Xero Me mobile app or My Payroll on the web
A leave request shows the leave type, dates, and a description ready to be submitted online for approval.

More about payroll

When you enable automatic enrolment in Xero, eligible employees are enrolled in your workplace pension, and contributions are deducted from their pay. Xero sends data directly to Nest or The People’s Pension, or lets you submit a file to another provider.

See how to set up employees for auto enrolment

Employee leave balances are automatically adjusted when a leave request is submitted and approved. Xero payroll comes with all the standard types of leave set up – plus you can set up rostered days off and time in lieu.

See how to enter leave entitlements

Record employee hours online and they seamlessly appear in pay runs for automatic calculation and payment. Time captured on project tasks also flows into payroll timesheets.

See how to add an employee timesheet

View a wide range of payroll reports to get valuable information on payroll activity, transactions, remuneration and pension contributions.

See the full list of Xero's payroll reports

Start using Payroll for free

Access all Xero features for 30 days, then decide which plan best suits your business.

  • Safe and secure
  • Cancel any time
  • 24/7 online support

I’ve got all my figures and my accounts at my fingertips. It’s brilliant.

Dan uses Xero to run his business

Dan from the Old Hall Inn uses Xero to run his business